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Insurance Coverage Basics

Insurance coverage is often a great source of confusion for the victims of auto accidents. Below is a summary of the various types of coverage and how they might relate to your accident.

At Fault Driver’s Liability Insurance

Pays for your property damage –

Property damage means the damage to your automobile. The at fault driver’s liability insurance will pay to have your vehicle repaired. If your vehicle is a total loss, the at fault driver’s liability insurance is only responsible for the actual cash value of your vehicle. The actual cash value may sometimes be below the amount owed on the vehicle. You are also entitled for a rental care to be paid for by the at fault driver’s liability insurance.

Pays for your bodily injuries –

Bodily injuries refer to the injuries you and/or your passengers received in the accident, as a result of the negligence of the other driver. You are entitled to recover for your medical bills, lost income, pain and suffering, any scarring or permanent disfigurement to your body, as well as any permanent physical injury. The at fault liability insurance company will carefully review all of your medical bills, so it is very important that you seek all of the treatment that you need and keep all of your appointments. If you must miss an appointment with your doctor or chiropractor, you must be sure to reschedule the missed appointment as soon as possible.

Health Insurance

If you have health insurance, you should use it now to help pay your medical bills. Even though the other driver was ultimately responsible for your injuries, you have paid for your health insurance benefits and using the benefits to pay your bills will keep creditors away while you are awaiting settlement of your claim. You are only responsible for any unpaid medical bills. In some cases, you may be required to reimburse your health insurance company for the benefits that were paid on your behalf, when your claim is settled.

Medical Payments Coverage

In contrast to liability insurance, medical payments coverage, also known as “Med Pay” coverage, is elective coverage that may be part of your own auto insurance policy. If you have medical payments coverage, it may be used to pay medical expenses for you and any passengers in your vehicle who are injured during an accident. If provides coverage for the policy holder regardless of who caused the accident.

Medical payment coverage is especially helpful for those who do not have health insurance, but it is also often beneficial for those with health insurance. For instance, it may be used in most cases to cover your health insurance deductible and/or co-payments.

How do you find out if you have medical payments coverage?

Take a look at your insurance policy declarations page. We will be happy to review your auto policy with you to determine if you have MedPay coverage.

What will your MedPay cover?

Medical payments coverage pays up to a per-accident limit specified by your insurance contract, for all "reasonable" expenses incurred for necessary medical and funeral services rendered within three years from the date of the accident.

We are here to help.   If you have any questions about the insurance coverage in your case, please call us any time for assistance.